Govt proposed to impose tax on solar energy consumers

ISLAMABAD: The Central Power Purchasing Agency (CPPA) has proposed the federal government to impose a tax on individuals using solar panels for residential or commercial purposes, ARY News reported.

The sources privy to the development said that the CPPA has proposed a tax of Rs 2,000 per kilowatt on residential and commercial consumers installing 12 kilowatts or more.

The CPPA’s recommendation, which was sent to the Ministry of Energy (Power Division) for approval, has now been forwarded to Prime Minister Shehbaz Sharif for final approval.

After the prime minister’s approval, the consumers who install 12 kilowatt solar panels will have to pay a tax of Rs 24,000.

Meanwhile, the federal government is also reviewing the prices of solar panels as a suggestion to reduce the prices of solar panels is under consideration.

Earlier on Friday, Sindh Minister for jails Ali Hasan Zardari said that the prisons across the province will be shifted to solar energy.

According to details, 200 to 600KV solar kits would be installed in the jails across the province to shift fans installed in the prisoner barracks to solar technology.

Zardari said the work to shift Karachi Central Jail, Women’s Jail and Landhi Jail on solar power has already been initiated, while in the second phase jails of Hyderabad, Mirpurkhas, Badin, Sanghar, Khairpur, Ghotki, Jacobabad, Sukkur will be shifted to the solar technology.